8-KEarnings & ResultsExhibits & Filings

SYNOPSYS INC 8-K Report, Financial Results (Aug 19, 2009)

Filed August 19, 2009For Securities:SNPS

Summary

This 8-K filing by Synopsys, Inc. (SNPS) on August 19, 2009, announces their financial results for the third fiscal quarter ended July 31, 2009. The report primarily serves to furnish a press release detailing these results, which includes both GAAP and non-GAAP financial figures. Investors should note that Synopsys utilizes non-GAAP measures to provide supplemental insights into operational performance, excluding items such as share-based compensation, amortization of acquired intangibles, and certain one-time events like a tax benefit from an IRS settlement. The company emphasizes that these non-GAAP measures are not a substitute for GAAP but are intended to offer a clearer view of core operational profitability and facilitate comparisons with historical performance and competitors. Management uses these non-GAAP figures for internal decision-making, including budgeting and resource allocation, believing they better reflect the ongoing operational performance and investment capacity.

Key Highlights

  • 1Synopsys, Inc. reported its third fiscal quarter financial results for the period ending July 31, 2009.
  • 2The filing includes a press release with detailed financial results, both GAAP and non-GAAP.
  • 3The company provides non-GAAP earnings per share and net income figures.
  • 4Synopsys explains its use of non-GAAP financial measures, excluding share-based compensation and amortization of acquired intangibles.
  • 5Other excluded items from non-GAAP calculations include a tax benefit from an IRS settlement.
  • 6Management uses non-GAAP measures for internal decision-making, budgeting, and resource allocation.
  • 7The company believes non-GAAP measures offer valuable insights into operational performance and facilitate comparisons with peers.

Frequently Asked Questions

The primary purpose of this 8-K filing is to announce and provide the financial results of Synopsys, Inc. for its third fiscal quarter ended July 31, 2009, through an attached press release.

Synopsys presents both GAAP (Generally Accepted Accounting Principles) and non-GAAP financial measures. The non-GAAP measures include non-GAAP earnings per share and non-GAAP net income.

Key items excluded from Synopsys' non-GAAP measures include share-based compensation expenses (because they are non-cash and management believes they don't reflect core operational profitability), amortization of acquired intangible assets and in-process R&D (as they are non-cash and management seeks to provide a clearer view of operational performance), and certain significant one-time items such as a tax benefit from an IRS settlement (as it's not part of ongoing operations).

Synopsys management uses these non-GAAP financial measures for internal analysis, budgeting, resource allocation, and to make operational decisions. They believe these measures provide meaningful supplemental information about operational performance and aid in comparing results to historical performance, forecasted targets, and competitors.